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Artisanal Fisheries and Climate Change Project (FishCC)

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Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized REPÚBLICA DE MOÇAMBIQUE MINISTERIO DAS PESCAS Instituto Nacional de Desenvolvimento da Pesca de Pequena Escala Artisanal
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Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized REPÚBLICA DE MOÇAMBIQUE MINISTERIO DAS PESCAS Instituto Nacional de Desenvolvimento da Pesca de Pequena Escala Artisanal Fisheries and Climate Change Project (FishCC) PROCESS FRAMEWORK (PF) RP1756 Public Disclosure Authorized Prepared by: Mario Souto Maputo, October LIST OF ACRONYMS ADNAP National Administration for Fisheries AFD French Development Agency CAADP Comprehensive Africa Agriculture Development Program CBNRM Community-Based Natural Resource Management CDAP Community Development Action Plans CPS Country Partnership Strategy FY12-15 DA District Administration DCC District Consultative Council DNA National Directorate for Water DNE National Directorate for Energy DNPO National Directorate for Planning DNAPOT National Directorate for Land Planning DNPA National Directorate for Environmental Promotion and Education DPA Provincial Directorate of Agriculture DPCA Provincial Directorate for the Coordination of Environmental Affairs DPPF Provincial Directorate of Planning and Finances DPP Provincial Directorate of Fisheries DPOPH Provincial Directorate of Public Works and Housing EA Environmental Assessment EDM Electricity Company/Electricidade de Moçambique EIA Environmental Impact Assessment EMP Environmental Management Plan EP Fisheries School ESIA Environmental and Social Impact Assessment ESMF Environmental and Social Management Framework ESMP Environmental and Social Management Plan FAO Food and Agriculture Organization FFP Fund for Fisheries Development FIPAG Urban Water Supply Asset Fund FISHCC Artisanal Fisheries and Climate Change Project FMP Fisheries Master Plan/Plano Director das Pescas GDP Gross Domestic Product GOM Government of Mozambique IDA International Development Association IDPPE National Institute for the Development of Small-Scale Fisheries IIP National Institute for Fisheries Research i INAQUA INIP IOC MAE MF MICOA MINAG MISAU MOPH MP MPA MSME NAPA NCSD NEMP NEPAD NGO PARPA PCU PDD PDUT PEPA PF PLPP PPU PQG PRS RAP RPF SDAE SDMAS SDPI ToR UCA UNDP VMS WB WHO National Institute for Aquaculture Development National Institute for Fish Inspection Indian Ocean Commission Ministry of State Administration Ministry of Finance Ministry for the Coordination of Environmental Affairs Ministry of Agriculture Ministry of Health Ministry of Public Works and Housing Ministry of Fisheries Marine Protected Areas Micro Small and Medium Enterprises National Adaptation Program of Action National Commission for Sustainable Development National Environmental Management Program New Partnership for Africa s Development Non-Governmental Organization Action Plan for the Reduction of Absolute Poverty Project Coordination Unit District Development Plans (Plano Distrital de Desenvolvimento) District Land Use Plan Environmental Quality Standards of Mozambique Projects Process Framework Provincial level project personnel (with monitoring responsibilities) Provincial Project Unit Government Five Year Plan Poverty Reduction Strategy Resettlement Action Plan Resettlement Policy Framework District Services of Economic Activities District Services of Women, Social Affairs and Health District Services of Planning and Infrastructure Terms of Reference Coordination and Support Unit United Nations Development Program Vessel Monitoring System World Bank World Health Organization ii TABLE OF CONTENTS 0 LIST OF ACRONYMS TABLE OF CONTENTS EXECUTIVE SUMMARY SUMÁRIO EXECUTIVO I III V XVII 1. INTRODUCTION 28 2 PROJECT DESCRIPTION Project Components Anticipated sub-project types under the Project DEVELOPMENT CONTEXT IN MOZAMBIQUE AND THE PROJECT AREAS General Country Development Context and Project Relevance Country s Reliance on Agriculture and Fisheries and Poverty Reduction The Fisheries Sector The Climate Change Challenge PROJECT TARGETED AREAS Location Coastal and Marine Environment and Resources Socio-economic Situation POTENTIAL IMPACTS OF THE PROJECT PRINCIPLES AND OBJECTIVES FOR THE PREPARATION AND IMPLEMENTATION OF A PROCESS FRAMEWORK POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK Policy Legal Institutional and Administrative Framework 56 iii 7.4 National legislation in relation to The World Bank Policy PARTICIPATION AND INCLUSION OF PROJECT AFFECTED PEOPLE Strengthening Commercial Utilization of the Coastal and Conservation Areas Mechanisms for Community Participation and Inclusion Impacts and Criteria for Determining Eligibility for Assistance Minimizing Negative Outcomes While Maximizing Positive Ones Resolution of Complaints, Potential Conflicts or Grievances Preventative measures Grievance and conflict redress mechanisms Administrative and Legal Procedures Monitoring and Evaluation Arrangements IMPLEMENTATION COSTS 71 REFERENCES 72 List of Figures Figure 1: FishCC Map List of Tables Table 1: Conservation and protected areas in Mozambique Table 2: Implementation Costs List of Annexes Annex 1: Project Screening Form... B Annex 2: Preliminary Environmental Information Sheet... D Annex 3: Status Quo of Preparation of District Land Use Plans in the Potential Project Area (provinces)... G Annex 4: Summary of Main Issues from the Public Participation/Consultation Process A Annex 5: Terms of Reference for the Formulation of Program s Safeguards Instruments... EE iv EXECUTIVE SUMMARY Introduction This Process Framework (PF) is prepared for the Artisanal Fisheries and Climate Change Project (FishCC). In addition to the Government of Mozambique FishCC is co-financed by the Nordic Development Fund (NDF), the World Bank (WB) and an NGO, Rare as a way of supporting the Government of Mozambique (GOM) to achieve three important objectives subdivided into an equal number of time horizons, namely: (i) long term: to sustainably increase the economic benefits generated by South West Indian Ocean (SWIO) marine resources, and the proportion of those benefits captured within the region ; (ii) medium term: to strengthen Mozambican capacity for management of resources and to reduce poverty among coastal artisanal fisheries of Mozambique supported by policies and institutions at national, provincial, district and local levels; and (iii) immediate (short term) objective: to identify/demonstrate a scalable approach that will reduce Mozambique s vulnerability to climate change, while improving fisheries and natural resource management outcomes. The above-mentioned objectives will be achieved through a combination of interventions aimed at facilitating the development of community-based, coastal natural resources management groups (CCPs Community Fisheries Councils) to manage and steward Territorial User Rights for Fishers (TURF) - reserves. Rare s Theory of Change and Pride Social Marketing Campaigns will be adopted as the main approaches to work with the involved communities. IDPPE (National Institute for the Development of Small Scale Fisheries) staff from the Ministry of Fisheries (MF) is expected to play a crucial role in the delivery process. Communities and their rights to natural resources and particularly marine resources as well as their rights to manage them will be at the center of the intervention. It is expected that the abovementioned approaches will assist in the achievement of important development objectives such as (i) reestablishment of the health of ecosystems in coastal waters, which will increase ecological resilience to climate change and expand opportunities for tourism, and (ii) significantly and intensely increase catch and catch value and ultimately contribute to reducing poverty and increasing social resilience within fishing communities. It is believed that once the communities start having a better understanding of the reasons behind the need to adopt sustainable principles in marine resources management they will be the best advocates of these principles and related practices that in most cases are seen as alien to them as they are often brought into the communities following top-down approaches. Project Components The Project Development Objective (PDO) is to improve the management effectiveness of selected priority fisheries at regional, national and community level. Overall, the project intends to build the capacity and leadership required and address core economic governance issues to establish a well-founded basis for shared economic growth based on fisheries. It will do so by supporting the improvement of the management of the most economically important fisheries, improving comanagement of small-scale fisheries, and facilitating public and private investments to increase the contribution of fisheries to national economies. The project comprises these main outcomes: Outcome 1: Rights Based Management Enhanced and Social Resilience to Climate Change Strengthened. This will support the establishment and institutionalization of CCPs, including the establishment of six TURF Reserves as well as undertake extensive capacity building of communities to increase climate change and social & ecological resilience. This will also demonstrate that fishers at each of the sites can achieve efficiency gains through v cooperative management techniques. Outcome 2: Fisheries Management Improved through the Use of a TURF-reserve Approach. Under this outcome the project will search for the improvement of local fisheries (catch biomass, value, management gains) through a rights-based management approach (to include protection and monitoring) leading to better fisheries production and reduction of poverty. Outcome 3: Marine Ecosystems, Habitats, and Biodiversity Improved (Ecological Resilience to Climate Change. Under this outcome a series of surveys that demonstrate ecosystems and habitats show improvement in biodiversity and ecological resilience will be conducted. Outcome 4: Livelihoods Improved. This outcome will deal with the livelihoods options for fishers (aquaculture, agriculture, tourism, etc.) by conducting and publishing a series of socioeconomic analyses on livelihoods of fishing communities including the role of women. Outcome 5: Capacity of IDPPE Increased. This outcome will focus on social marketing techniques to be taught to field staff of IDPPE for some of them to apply this knowledge in the field to effect social change. In addition to capacity building on Pride, relevant IDPPE staff will also receive capacity building in other areas for them to be able to work with the communities in the improvement of fisheries interventions. Outcome 6: New Fisheries Law is reinforced with respect to rights-based management being a preferred approach to coastal fisheries. Ensure that National Policy and Legislation directly supports rights-based management as a transformative approach to improve coastal fisheries and reduce poverty. Outcome 7: Technical Assistance, Reporting and Auditing Provided for Project). This output will ensure that technical assistance is provided to IDPPE and other relevant entities to competently carry out the various functions of project implementation and management. Development Context FishCC happens when Mozambique is experiencing economic growth rates of an annual average situated above 7%1 in real terms and continues to be one of the fastest growing economies in Africa and the world, with reduced inflation, which, due to sound macro-economic policy management. In the last few years, extensive reserves of coal, gas and other minerals have been discovered and are beginning to be exploited. The current and future developments associated with mineral resource exploitation have the potential to radically change the structure of Mozambique s economy and society at the same time that pose serious challenges to the country s capacity to embark on an inclusive economic growth as espoused by the approved and on-going poverty reduction strategy or PARP III ( ). However, despite the remarkable ongoing growth progress, the country continues to be among the world's poorest and heavily dependent on foreign aid. On the 2013 United Nations human development index (HDI), Mozambique ranks as the 185th of 187 countries. A number of institutional constraints and other constraints continue to obstruct the delivery of basic services (e.g. water supply, sanitation, education and health services) and there are many challenges that remain. In 2010, MPD data indicated that between and there was a slight increase in the incidence of poverty (consumption), which rose from 54.1% to 54.7%. Rural poverty has been the worst although in recent years urban poverty is increasingly becoming a serious concern. 1 The World Bank estimates that Mozambique s economic growth averaged 8.1% over the period (WB, 2013) vi The Government is in the process of implementing a second set of structural reforms that will take advantage of the prevailing macroeconomic climate. The main targets of these reforms are: (i) the public sector, (ii) fiscal policy, (iii) governance and, (iv) the business environment, including the creation of an enabling environment for the establishment and development of small and mediumsized enterprises (SMEs). Another aspect that needs to be addressed in the Mozambican economy has to do with the fact that due to historical factors a significant number of development sectors (roads, railways, energy, telecommunications, etc.) have focused mainly on serving the region in detriment of domestic needs. The largely functional corridors of Maputo, Beira and Nacala, which link Mozambique to South Africa, Swaziland, Botswana, Zimbabwe, Malawi and Zambia, respectively, are a good illustration of this phenomenon. There is also a growing fear from various sectors inside and outside the country that the availability of foreign investment in mega-projects in areas such as mining, power generation, petrochemicals, smelting and transport infrastructure has created easy growth options that diminish the incentive for the government to undertake the more challenging reforms that would remove structural obstacles to broad-based growth. This could also influence negatively the attention to be given to agriculture and fisheries. Under such a context, the project is highly relevant. Focusing on the fisheries sector at the grassroots level and through its major components and subcomponents, and particularly those dealing with community empowerment and some infrastructure development, linkages and general improvement of the business environment it will support government s efforts in the establishment of the necessary institutions at the grassroots level, pilot and demonstrate viable socioeconomic interventions, assist in capacity building and provide adequate monitoring and evaluation mechanisms that will benefit the project areas in particular, and country as a whole. The government has developed a Fisheries Master Plan ( ) to deal with most of the constraints that interfere negatively with the realization of the sector s potential and to boost such a potential. The fisheries sector contributes significantly directly and indirectly to poverty alleviation and socioeconomic development in general. At around 4%, the direct contribution of the sector to the GDP might be moderate, but it has a considerable weight in food security and particularly access to animal protein (i.e. 50% of animal protein consumed in the country) by a significant proportion of the country s population in rural and urban areas, balance of payment, public revenues, employment and gender equity. Around 850,000 households, or about 20% of the population, rely on fisheries for part of their income and a larger proportion relies on fishing for subsistence and food security. The country s coastline of about 2,700 km, is divided into three zones, each with differing ecological conditions, two large bodies of inland water (Lake Niassa and the Cahora Bassa dam lake) and small lakes and rivers scattered throughout the country. The distribution of fishery resources is dependent on these differing conditions: in the estuaries and bays small pelagic fish, soft bottom demersal fish, abundant crustaceans, bottom demersal species and some large pelagic fish in the vicinity of the near-shore islands, tilapia, catfish (Niassa) and tiger-fish, tchenga are found in the in the large inland water bodies as well as catfish and tilapia in Cahora Bassa. Of the close to 150,000 tons of annual marina catches 91% are in the hands of artisanal fishing, 2% semi-industrial for local consumption, and 7% industrial fishing. The industrial catch, consisting mostly of crustaceans for export, represents about 52% of the total value, while artisanal fishing is situated around 42%, and the remaining 6% comes from semi-industrial fishing. The FMP is aimed at addressing six main issues: vii i. Restructuring the industrial and semi-industrial shrimp fishing fleets; ii. Diversification and growth of industrial and semi-industrial fisheries production; iii. The growing role of private initiative as the engine driving national development and the corresponding reduction in State intervention in the productive sphere; iv. Construction of a Fisheries Public Administration focusing on policies and strategies, development plans, fisheries legislation, creation of an economic environment favorable to investment and conflict arbitration; v. Improved standard of living for artisanal fishermen vi. Human resource development The vision for the development of the sector acknowledges that in the years to come artisanal fisheries, which is the most significant in terms of volume and contribution to the economy will continue to be undertaken by forms of artisanal subsistence. However, the same has to be increasingly linked to the country's markets, and integrated into communities where social services have made substantial progress. Project Targeted Areas Figure 1 depicts the geographical distribution of potential areas for FishCC Project implementation. The project will support six pilot sites, each comprising 5-10 communities. If the pilot sites are successful, the approach will then scale up to include the majority of the country s coastline. Rare and IDPPE have already done some preliminary assessment of areas in Ponta do Ouro Partial Marine Reserve, Inhambane bay, and Pemba Bay, but specific sites cannot be selected until the grant is in its implementation phase. Early in the project, a series of scientific criteria will be used by IDPPE and Rare to determine the placement of the first six pilot sites. Activities under the seven outcomes in these areas will affect the different environmental and social components in different ways. The PF for this project focuses mainly on all the interventions that may potentially create restrictions of access to natural resources by local people and communities. Basically these consist of 1) General fisheries management including: closure periods, minimum mesh, fishing quotas, preservation of endangered species, and adequate exploitation of fisheries resources in general. 2) Minor construction: the rehabilitation and operation of fish markets (for confirmation), training facilities and social facilities for fisher associations and women s groups; other small size infrastructures (e.g. small ponds for aquaculture; small wells for water supply;; and small infrastructure for ice machines), may also exacerbate restrictions of access to natural resources by local people and communities and these need to be adequately considered in the PF. The generalized identification of the project potential environmental and social impacts was and will be done considering the environmental and social components that are likely to be affected by the project activities. This involves literature review of projects implemented in the same areas in the past, similar projects and through preliminary consultations with key stakeholders, particularly MF, IDPPE, INAQUA representatives, local leaders, fishing people and communities in
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